Technical Analysis May 20: Bitcoin, Ethereum, Bitcoin Cash, Litecoin and Ripple

Looking at the cloud, we see that $8,000 was the bottom of a flat cloud.

Bitcoin is currently moving above Tenkan-Sen and could be attracted to the current flat top of the Kumo Cloud.

In combination with the bullish cloud and lagging span exiting the cloud, I would start looking for a trade on Ethereum if a TK cross occurs.

Litecoin fell to $128 after bouncing off the cloud support.

Adding Ichimoku Clouds to the picture, we learn a little bit more - the cloud is looking like it is going to flip bearish, and with price struggling to make it back into the cloud, this could indicate some more downside.

Ripple is currently outside of the cloud, and above the Tenkan-Sen. It is nearing the bottom of a bullish cloud, which is also flat.

It would not be surprising to see Ripple retest the cloud as the price is usually drawn to flat parts of the cloud.

If Ripple fails to break back into the cloud, and the cloud turns bearish, this could mean Ripple will see more sideways action or downside.

Most traders do not make a move until price closes above or below the cloud - although, when the Senkou Spans cross one another, many traders use the indicator to predict the reversal of a current price trend.

Kumo Twist - The Ichimoku Cloud is a Japanese trading strategy, and 'Kumo' means cloud in Japanese.